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Romeo. Pabst et al. More down side to come in the next few weeks. I will cover my NQ short (1387 full position) on SP close above 1015.

though I don't think selling deep in the money puts is the best way to trade it. You collect very little premium on options that are deep in the money, liquidity is low, and you lose at least a couple of points on the spread. Much safer and more profitable to just take a position in the...

for years while also trading the underlying futures. They can be very useful and if you are thinking about trading currencies you owe it to yourself to get educated about options in general and see how they may augment your trading of the underlying, be it futures or forex. GL.

was one of them when you include bullets.

and I recognize the voice of experience and appreciate it. I use 15K per and as far as I am concerned it is all overnight as when I get in I can't be sure how long I will be in the trade. Minutes or days.

I don't trade many stocks and am not really a day trader but when I don't see anything that really interests me or when i am in a trade that is slow I look at a list of high beta stocks and see if there are any decent set ups. QLGC has been my biggest money maker stock this year, followed...

I hope you are both right about Oct 2 being a high. I am itching to short the NQ again.

Never blow out again (or put another way never get in a situation where blowing out is even a remote possibility). Having this as my Number 1 rule that absolutely must not and cannot be broken has kept me from blowing out for over a decade (blew out a few times the previous decade).

I had no idea the amount of margin being used on the Nas. Question is who is using it? The folks buying or the folks shorting? When you have some of the hi fliers with 125% of their float shorted it makes me wonder if we are either going to get the short squeeze of a lifetime or a break of...

the Vix is not what it was. Should be interesting to see what happens and if it takes on more relevance when it becomes tradable in the not too distant future.

Well the conventional wisdom was that vix at lows meant a pull back or correction in the offing. The Vix is still trending down on the weekly so this may still prove to be correct but using the vix as a directional indicator the last few months has not been too helpful. Again looking at the...

The vix is something that I would think would play a part in deciding what strike to sell in as much as when the vix is low it implies that volatility is low. However it will also mean that the premium will be relatively low. If the vix shoots up it could be a good indicator to use for either...

ATR is the Average Trading Range of whatever time frame you are looking at.

obviously you don't have to answer this but if you would be willing I would be interested to know how you pick which strike to sell? Is it solely where you see support and resistance or do you take in to account things like ATR and vix or some other measure of volatility, or something else...

hurt allot of people and it isn't easy to acknowledge the fact that a 2-3% position can lead to a blow out if we don't adhere to strict discipline. Not easy but essential nonetheless. My number 1 trading rule:never blow out again. Have had that experience a couple of times already (thankfully...

this type of constructive criticism is exactly what I was looking for and why ET is so useful. I trade the SP and currencies and am looking to incorporate an options strategy in to my trading to basically increase the probability of a profitable trade over a wider price range. Also to give me...

I see which is why when I looked at this strategy decades ago I discarded it (pre globex). Now we have 24 hr trading the risk of getting caught in the gap is not as severe. Even when we get a fast market in the pit in the big contract buying or selling less than 50 ES doesn't involve too much...

Twilight Zone. :p

as long as you held until expiration would it really matter(assuming one is sufficiently capitalized to employ this strategy)? I guess part of what I am getting at is is the capitalization necessary for the success of this strategy so great that the ROI will end up being less than the SP's...

I wonder if a strategy of selling progressively higher call strikes would work even in a rising market. For example, you sell a 1050 SP call when the underlying is (well) under 1050, then if it hits 1050 you buy a future and sell a 1060 strike, if it hits 1060 you buy a future and sell a 1070...